Friday, September 19th, 2014 at 1:42pm. 33 Views, 0 Comments.
COMMENTARY: As we began the week, every investor’s eyes were focused solely on Wednesday’s Federal Open Market Committee’s post-closing statement. Fortunately, the Fed followed the script and elected to leave the phrase "considerable time" fully in place as they discussed when they might first begin to tighten short-term interest rates. Most pundits believe that these rates (used for HELOCs, credit cards, and to a certain extent, long term mortgage rates) will begin to increase by mid-2015 if our labor market continues its current course. Looks like we dodged another bullet and Chairwoman Yellen continues to be “the most interesting woman in the world”!
In the coming week, investors will be reviewing the housing sector in the form of Monday's August…
Tuesday, September 16th, 2014 at 7:06am. 77 Views, 0 Comments.
>> Market UpdateQUOTE OF THE WEEK... "Be so good they can't ignore you." --Steve Martin, American actor, writer, and musician
INFO THAT HITS US WHERE WE LIVE... The housing market isn't quite as good as Mr. Martin advises, but it's a lot better than some media pundits would have us believe. Last week, one of the world's leading independent macro-economic research companies gave its bullish assessment of the U.S. housing market and mortgage growth. Their property economist said that the weak August jobs report was "probably just an isolated blip." He feels that "indicators such as initial jobless claims suggest that labor market conditions are still strengthening." Jobs of course are key to the housing recovery.
This economist noted that with
Friday, September 12th, 2014 at 12:21pm. 71 Views, 0 Comments.
COMMENTARY: As we began the week, the thought was that with so few economic reports, the primary influence on mortgage rates would be the stock market’s ebbs and flows as well as today’s report on August retail sales. With that report in the books now and matching expectations, we come to a close on another week of barely moving rates. There was a minor increase as some pundits are fretting the Fed will change the language in their post-meeting statement next Wednesday for a tightening of benchmark short-term interest rates as early as March, 2015 so that will be an interesting meeting.
In terms of economic news, Tuesday’s August Producer Price Index and Wednesday’s August Consumer Price Index will draw the largest amount of investor attention.…
Monday, September 8th, 2014 at 7:26pm. 59 Views, 0 Comments.
>> Market UpdateQUOTE OF THE WEEK... "Learn from yesterday, live for today, hope for tomorrow." --Albert Einstein, German-born theoretical physicist
INFO THAT HITS US WHERE WE LIVE... Einstein's scientific genius provides some smart advice for today's housing market. "Learn from yesterday": we recently learned that the home price decline a few years ago was not as severe as originally thought. Property values nationally, from their February 2007 peak to their December 2011 trough, only dropped 26%, not the 34% originally reported. This finding comes from analysts at the well-regarded S&P/Case-Shiller Home Price Index, who just spent more than a year re-working their model with a bigger, higher quality set of data.
"Live for today": consider a
Friday, September 5th, 2014 at 5:09pm. 133 Views, 0 Comments.
COMMENTARY: Because I am rushing out to meet my wife for an early movie and I never want to keep her waiting, I hope you will forgive me for the lack of a commentary this week. I can tell you that there is virtually no change from last week’s rates so let’s just leave it at that. Shall we?
To View The Weekly Rates CLICK HERE.
Have a great weekend!
Tuesday, September 2nd, 2014 at 5:32pm. 64 Views, 0 Comments.
>> Market UpdateQUOTE OF THE WEEK... "We never taste a perfect joy; our happiest successes are mixed with sadness" --Pierre Corneille, French dramatist
INFO THAT HITS US WHERE WE LIVE... Some observers were indeed sad to see that New Home Sales fell off by 2.4% in July, dipping to a 412,000 annual rate. But wait. June's number had been revised upward and, besides, New Home Sales are still up 12.3% over a year ago. Other positive notes included the median price of new homes sold was up 2.9% versus a year ago and the average price, up 2.9%. The inventory of new homes grew by 8,000 during the month, still low, but better than it's been. The housing recovery is intact, but there are fits and starts we have to be ready for, given that the overall
Friday, August 29th, 2014 at 2:12pm. 78 Views, 0 Comments.
COMMENTARY: The Commerce Department reported on Tuesday that Durable Goods Orders (items manufactured to last three-years or more) skyrocketed by 22.6% in July driven by a 317% surge in commercial aircraft orders- blowing past most economists' forecast calling for a gain of 12.6%. Such a report would normally have created a market surge and strongly increasing mortgage rates but after the dust cleared, that didn’t happen. The "fly-in-the-ointment" was that 150 of the planes ordered last month were for expensive models, some of which are still under development. It could take up to 10-years before the increase in July 2014 aircraft orders actually filter through to the GDP report. Outside of transportation, orders were decidedly puny - falling 0.8% amid…
Tuesday, August 26th, 2014 at 3:03am. 67 Views, 0 Comments.
> Market UpdateQUOTE OF THE WEEK... "It's not about how good you are, it's about how good you want to be." --Nicole Jacek, German award-winning graphic designer
INFO THAT HITS US WHERE WE LIVE... We all want to be the best and help make the housing market the best it can be. Housing took a big step ahead in July as Housing Starts blasted ahead 15.7% to an annual rate just over one million units. Starts are now up 21.7% over a year ago, with strong gains in the past year for both single family starts, up 10.1%, and multi-family, up 44.7%. New Building Permits zoomed up a nice 8.1% in July, also to a just over one million annual rate. Versus a year ago, single-family permits are up almost 4%, multi-family up just over 14%.
Monthly Housing Starts
Friday, August 22nd, 2014 at 5:09pm. 87 Views, 0 Comments.
COMMENTARY: Much of last Friday's buying pressure of mortgage-backed securities reversed course this week as high level cease-fire talks between Russia and Ukraine begin and the situation in Iraq appears to be improving. In addition, this week and next are the more heavily-vacationed weeks of the year for investors in both the credit and equity markets. With a number of market participants spending the next ten work days sipping Mai Tai's and applying sunscreen instead of trading, it is almost certain price volatility will probably be higher than usual due to the limited trading action. Trading activity won't really return to "normal" until a day or so after the Labor Day Holiday break.
The coming week will feature the release of the July New Home…
Monday, August 11th, 2014 at 9:39pm. 101 Views, 0 Comments.
>> Market Update
QUOTE OF THE WEEK... "Normalcy is not interesting." --Lindsay Lohan, American actress, model, producer, and recording artist
INFO THAT HITS US WHERE WE LIVE... If the troubled performer were earning her living in real estate, she might think differently about normalcy. For a few years now, the housing market has been anything but normal, so any return to stability is interesting indeed. With a major real estate information provider reporting home price gains moderating in June, their chief economist observed, "This reversion to normality that we are finally experiencing is expected to continue across the country and should further alleviate concern over diminishing affordability and the risk of another asset bubble."